Public Finance: Public Goods
I’m working on a Social Science exercise and need support.
For a total of at least 800-words answer the following questions:
What are the characteristics of the Lindahl equilibrium for cooperative supply of a pure public good? How does the free-rider problem affect the effectiveness of voluntary cooperative methods in achieving efficient levels of output for pure public goods?
2. How does the condition for efficiency differ between pure public goods and pure private goods? What problems are likely to arise if people try to supply public goods for themselves without cooperating and sharing costs?
3. Include an explanation of what public finance tools could be used and why the study of public finance is important in understanding these comparisons.
Please, cite, add references and format according to APA style.